JAKARTA. Indonesian Workers may be happy with the social security programs provided by the National Social Security Agency(BPJS). On the other hand, employers will experience headache because of the increase burden over BPJS program implementation.The government soon finalize draft regulation (RPP) of the Retirement Security dan RPP of Old Age Security plans for workers. The last discussion of the RPP set the pension insurance contributions of 8% of the total salary. Employers bear 5% and the workers bear 3%. While contributory old age pension is set at 5.7% of the employee salary. Employers bear the 3% and the workers bear 2,7% the total salary.Chairman of the National Social Security Council ( DJSN ) Chazali Situmorang said the government will also limit the maximum pension benefits 25 years-30 years after retirement. That is, the optimal retirement benefits not enjoyed by workers because it is not a lifetime.A number of contributions BPJS also adds a new burden for employers. All in all, entrepreneurs will bear 14.04 % of the employee's salary, for BPJS dues. The portion of employer contributions consists of life insurance contribution of 0.3 % of salary, work accident insurance fee of 1.74 %. There is another contribution of old age insurance 3%, 4 % contributory BPJS health, and pension insurance contributions amounting to 5 % of employee salaries.For comparison, the previous obligation of employers is less than 10 % of employee's salary. In other words, employers contribution is now up 40 % after the BPJS program. Hariyadi Sukamdani, Chair of the Wages Department from the Indonesian Employers Association ( Apindo ) said, plus wage increases, employers burden this year rose 34% per month. "This is extremely difficult for us. The government should take full responsibility, " he told KONTAN, Sunday (26/1).Businessman accused, the government does not communicate with employers concerning BPJS contribution rate. For example, the establishment of health insurance premiums, previously subjected to a total of 3 %, employers are now have mandatory 5% contribution from the salary of employees .On the other hand, the social sercurity service provided by BPJS still far behind from expectations. Said Iqbal, Secretary General of the Social Security Action Committee (KAJS), a social security watchdog, said, the number of services provided dan hospitals that receive BPJS recipients are limited.
BPJS contribution adds new burden for employers
JAKARTA. Indonesian Workers may be happy with the social security programs provided by the National Social Security Agency(BPJS). On the other hand, employers will experience headache because of the increase burden over BPJS program implementation.The government soon finalize draft regulation (RPP) of the Retirement Security dan RPP of Old Age Security plans for workers. The last discussion of the RPP set the pension insurance contributions of 8% of the total salary. Employers bear 5% and the workers bear 3%. While contributory old age pension is set at 5.7% of the employee salary. Employers bear the 3% and the workers bear 2,7% the total salary.Chairman of the National Social Security Council ( DJSN ) Chazali Situmorang said the government will also limit the maximum pension benefits 25 years-30 years after retirement. That is, the optimal retirement benefits not enjoyed by workers because it is not a lifetime.A number of contributions BPJS also adds a new burden for employers. All in all, entrepreneurs will bear 14.04 % of the employee's salary, for BPJS dues. The portion of employer contributions consists of life insurance contribution of 0.3 % of salary, work accident insurance fee of 1.74 %. There is another contribution of old age insurance 3%, 4 % contributory BPJS health, and pension insurance contributions amounting to 5 % of employee salaries.For comparison, the previous obligation of employers is less than 10 % of employee's salary. In other words, employers contribution is now up 40 % after the BPJS program. Hariyadi Sukamdani, Chair of the Wages Department from the Indonesian Employers Association ( Apindo ) said, plus wage increases, employers burden this year rose 34% per month. "This is extremely difficult for us. The government should take full responsibility, " he told KONTAN, Sunday (26/1).Businessman accused, the government does not communicate with employers concerning BPJS contribution rate. For example, the establishment of health insurance premiums, previously subjected to a total of 3 %, employers are now have mandatory 5% contribution from the salary of employees .On the other hand, the social sercurity service provided by BPJS still far behind from expectations. Said Iqbal, Secretary General of the Social Security Action Committee (KAJS), a social security watchdog, said, the number of services provided dan hospitals that receive BPJS recipients are limited.